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Decentralized world of virtual luxury? This is how to approach it

Who would have thought that established global brands such as Gucci, Vans, Burberry, Coca Cola and Netflix would go down the route of immersive virtual reality experiences, especially given their physical premises and rise to prominence as luxury goods and fashion manufacturers.

Well, after a year and a half of lockdowns, diversification is key and the Ethereum blockchain is the catalyst, as new methods of providing a luxury lifestyle experience to global clientele are hot on the minds of the world’s leading brands.

What is now being referred to as the ‘social gamer’ phenomenon is paving the way for the future of online and offline experiences, creating huge opportunities for brands, and in turn extending their online presence to reach more diverse and engaged audiences, and decentralized blockchain technology is the linchpin.

Aside from the social gaming space, from the gamer-sphere, Arizona Iced Tea, which is clued up on its subcultures and community marketing, recently bought an NFT from The Bored Ape Yacht Club, which is a collection of 10,000 unique digital collectibles living on the Ethereum blockchain. When you purchase a Bored Ape, you own all the commercial copyrights.

In this community people have started coffee brands, beer brands and other creative projects, which adds to the overall perception of the community. “[It] adds to the overall bottom-line value as well,” Zoe Scaman, founder of Bodacious told The Drum today.

What they’re doing is adding value to that overarching community. To the consumer it feels like it’s a lot more like brands playing with them rather than brand marketing to them. And that’s a completely different dynamic.

“They will probably do some really interesting stuff on their cans of iced tea with Bored Apes. It’s a good way of making the community feel like they’re being listened to” she said.

This reflects the exact same dynamic as Ethereum blockchain based virtual reality landscape Decenraland.

Decentraland is a virtual landscape centered around a swimming pool, in which users manipulate keyboard controls familiar to anyone who misspent their youth playing computer games: w, a, s, d to walk forwards, left, backwards and right; space bar to jump.

A sign next to the pool reads “diving allowed”. Your correspondent presses w and her flaxen-haired simulated self climbs up and over the edge of the red diving board, plunging into the pool’s centre.

This is what it is like to enter Decentraland, a virtual-reality platform built on the Ethereum blockchain, also known as a “metaverse”, where virtual shops sell digital collectables and tokens.

Not only does this stir the mind of those interested in exploring all manner of new dimensions within the blockchain technology sphere, but it also provides luxury brands, dealers in collectibles and lifestyle product manufacturers with an absolutely captivating opportunity for marketing.

In an age where very few people engage in passive activities such as watching television, especially the analytical, mind-expanding enthusiasts who always look toward the next innovation in life-changing developments such as blockchain protocols and projects, interactive digital worlds are the future, and a product or brand which features within the virtual sets on these systems would gain a very high level of traction, and would have the tokenized method of financing their purchases or subscriptions.

If brands want to be part of this eventuality, early adoption is key. If you’re entering this space, you must intrinsically understand the subcultures and different communities without just plastering advertising everywhere.

Some of the participants are huge companies with very upscale product ranges. Today, Decentraland tweeted “Live now in Decentraland we are talking to Andrea Bruno Lead Exterior Desinger for @Maserati_HQ in celebration of the debut NFT series with @IAmAutomobilist and @SuperRare.”

This brings communities together, brands and associated services together and facilitates an entire marketplace developed on tokenized capitalization. Very clever indeed.

Decentraland has been around since it opened to the public in February 2020 just a month before many nations locked down and closed physical businesses, and the move toward this way of thinking for brand and product marketers has accelerated massively over the past few months as the lockdowns in various countries along with the need for people to change the way they spend have compounded it.

Decentraland was originally created in 2015 by Argentinians Ari Meilich and Esteban Ordano. Initially, it was a just pixelated grid that allocated pixels to users through a proof-of-work algorithm. Decentraland later evolved into a 3D world.

In October 2018 Decentraland and Animoca Brands conducted a mutual investment via a share and MANA token swap equating to US$0.5 million each. Decentraland investors include Digital Currency Group, Kenetic Capital, FBG Capital, CoinFund, and Hashed.

Now, if this type of marketing and product affinity takes off the way it appears to be doing, those wishing to participate will need a first class fiat on and off ramp, with full security and regulation.

Coinmetro is exactly that, having been fully regulated since inception in 2018, and holding a full license as a cryptocurrency exchange as well as an Electronic Money Institute (EMI) license for crypto payments.

Coinmetro’s facilitation of access to all cryptocurrencies via a highly sophisticated and comprehensive exchange platform is intrinsic to this new world.

As Ethereum’s blockchain system interacts with new generation protocols such as Level 2 (L2), developers consider this new version to be a relatively early release, and have stated that it requires substantial real-world testing, and it has moved the game forward and emphasizes the ingenuity of L2, which is quite simply an outstanding scaling methodology on the basis that aside from the important aspect of reducing operating costs, L2 scaling solutions increase throughput without tampering with any of the original decentralization or security characteristics that are integral to the original blockchain.

Thus, centralized exchanges also perform similar functionality to L2s, therefore can be used to expand the scope of accessing L2 decentralized ecosystem via routes such as being able to exchange fiat currency in order to then participate at L2 level, therefore performing the function of a ‘fiat on-ramp’. For example, one of the most common places for new users to get their first coin is an exchange. Not all exchanges allow direct fiat purchases, however CoinMetro is able to provide this function very comprehensively.

This is a matter of key importance to users looking to maximize their engagement with any Ethereum blockchain-based decentralized environment.

Ergo, the more sophisticated the exchange you choose, the more seamless and boundless your experience in the decentralized world will be whether you are a commercial operation looking to market your product, or a customer looking to be part of the decentralized VR experience.

Coinmetro is the go-to venue for accessing this comprehensively, and as an added bonus, if you are a company looking to operate commercially via decentralized environment, Coinmetro offers a business account to settle treasury in cryptocurrency.

This is the fully comprehensive decentralized world of now and the future, where the sky is literally the limit.